Thursday, June 19, 2014

Old and Long Vacant Main Post Office Rennovation Plans Back in the News

Looks like the Old Post Office that sits just west of what we consider the Sloop is getting some attention again (via Crain's):

Five years after buying the empty Old Main Post Office, British developer Bill Davies has formed a joint venture with Sterling Bay Cos. in an effort to kick-start a $500 million redevelopment of the hulking West Loop structure.

The Chicago-based developer said it is teaming up on the project with Mr. Davies, who will contribute the building as his investment in the joint venture.

An office and retail redevelopment of the 2.7-million-square-foot structure is likely to cost about $500 million, said Sterling Bay Managing Principal Andy Gloor, who did not disclose financial terms. A spokeswoman for Mr. Davies declined to comment.

That figure does not include plans for about four acres of land along the Chicago River at the site, possibly for a residential project or more commercial development.

As Crain's reported last month, Walgreen Co. has looked at the site as it considers a potential move of its headquarters from north suburban Deerfield. But Mr. Davies, who bought the vacant building and adjacent land for $24 million in 2009, has yet to sign any tenants for the highly visible building, which straddles the Congress Parkway.